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Brazil biofuel: Shell axes 'illegal' sugar cane plan
Source: BBC
14 June 2012 Last updated at 00:08 GMT
Brazil biofuel: Shell axes 'illegal' sugar cane plan
A biofuels company set up in Brazil by oil giant Shell has signed a landmark agreement giving up plans to buy sugar cane grown on indigenous lands.
The company, Raizen, was obtaining some of the raw material for ethanol from farmers who encroached on the lands of the Guarani tribe in Mato Grosso do Sul state.
The deal comes after months of pressure by the Brazilian authorities.
Indigenous leaders have welcomed the agreement.
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Read more: http://www.bbc.co.uk/news/world-latin-america-18433008
